The proposed pact aims to address long-standing market access constraints that have limited Indian dairy exports, particularly into major markets like the United States. By reducing uncertainty around duties and trade barriers, the reforms could help Indian producers and processors better align with international competitors and integrate their products — such as cheese, ghee, and specialised dairy ingredients — into global supply chains.

Some details of the trade deal are already public: the United States has agreed to cut reciprocal tariffs on Indian goods to around 18%, down from punitive levels that recently reached about 50%, creating a more competitive backdrop for Indian exports. While broader negotiations will continue, this reduction is viewed as a positive signal for export-oriented sectors.

Milky Mist leaders stress that a predictable and structured bilateral trade framework could support income growth across the dairy value chain, bolstering confidence among farmers, processors, and allied stakeholders. The clarity on tariffs is expected to reduce risk for exporters and facilitate longer-term planning for market expansion.